Switching Current Accounts

Deamonata

Hi there,

I've seen alot of advice that seems to advocate setting up several temporary current accounts so that you can then switch them to get a better account with a switching bonus. For example an article on the telegraph (new user so can't link) recommends setting up a secondary accounts with your current bank to then switch one of the accounts to the Halifax “Reward” and the other to the Co-op. My question is first is this perfectly legal and secondly is there a minimum time frame that the account needs to be open for before I can switch?

Thanks

badger09

Deamonata wrote: »

Hi there,

I've seen alot of advice that seems to advocate setting up several temporary current accounts so that you can then switch them to get a better account with a switching bonus. For example an article on the telegraph (new user so can't link) recommends setting up a secondary accounts with your current bank to then switch one of the accounts to the Halifax “Reward” and the other to the Co-op. My question is first is this perfectly legal and secondly is there a minimum time frame that the account needs to be open for before I can switch?

Thanks

It is perfectly legal.

There is no minimum time that the account needs to be open before switching.

However, when switching you will be asked for the account's debit card details, so you will have to wait for that to arrive. Also, many switching incentives require the account being switched to have active Direct Debits set up on it. That will take several days to organise.

rmh29

Hope that Deamonata does not mind me piggybacking on this with a question in the same sort of area.

I have two accounts:
Santander Everyday Current Account (2 active direct debits payable annually, required to feed a Santander Regular Saver account)
NatWest Current Account (unused, no activity)

I would like to open an M&S Current Account, essentially to get the Regular Saver account, and if possible, get the switching bonus in the process.

Since the Direct Debits are not required in the Santander account, I thought they could be transferred to qualify for the M&S bonus. But I do not want to close the Santander account, because it is necessary for keeping the Regular Saver open. But for the bonus to be paid, the switching service has the close the account. My thought is that, as I do not need the NatWest account, I could transfer the Direct Debits there, and then use that as the account to close and switch to M&S.

But as these Direct Debits are only paid annually, if they are moved between bank accounts twice in a month, would they be seen as 'active' when they reach M&S? Is there any reason why this would prevent me from qualifying for the bonus?

I do not have any other accounts I want to close, or Direct Debits that I am able to transfer. The question is very much, will this scenario work or will it not? I would appreciate your advice and experience. Many thanks indeed.

YorkshireBoy

rmh29 wrote: »

Hope that Deamonata does not mind me piggybacking on this with a question in the same sort of area.

I have two accounts:
Santander Everyday Current Account (2 active direct debits payable annually, required to feed a Santander Regular Saver account)
NatWest Current Account (unused, no activity)

I would like to open an M&S Current Account, essentially to get the Regular Saver account, and if possible, get the switching bonus in the process.

Since the Direct Debits are not required in the Santander account, I thought they could be transferred to qualify for the M&S bonus. But I do not want to close the Santander account, because it is necessary for keeping the Regular Saver open. But for the bonus to be paid, the switching service has the close the account. My thought is that, as I do not need the NatWest account, I could transfer the Direct Debits there, and then use that as the account to close and switch to M&S.

But as these Direct Debits are only paid annually, if they are moved between bank accounts twice in a month, would they be seen as 'active' when they reach M&S? Is there any reason why this would prevent me from qualifying for the bonus?

I do not have any other accounts I want to close, or Direct Debits that I am able to transfer. The question is very much, will this scenario work or will it not? I would appreciate your advice and experience. Many thanks indeed.

Open a second Santander account and switch the old one.

binaryuniverse

Anyone know of 'mule' accounts, I could apply for online, that give an instant decision?

bigadaj

binaryuniverse wrote: »

Anyone know of 'mule' accounts, I could apply for online, that give an instant decision?

Most institutions that you currently hold a current account with, not HSBC or any of their stable.

colsten

binaryuniverse wrote: »

Anyone know of 'mule' accounts, I could apply for online, that give an instant decision?

A mule account is generally considered something that is involved in illegal movement of money. Using donor accounts for switching purposes is nothing illegal. Best talk about donors, not about mules.